Team Health Will Not Catch The Obamacare Tailwind Investors Expect
The Bulldog Investor • Sun, Sep. 14
- The shift from a pay-for-service to a pay-for-performance business model in the healthcare industry will decrease ER visits and hurt TMH’s business.
- Bulls believe that Obamacare will reduce medical bad debt by improving the payer mix, but the affects will be partially offset by defaults from the middle class on high deductibles.
- TMH price hikes and the lack of doctor patient relationships concerns many hospital executives and will slow company organic growth.
- Having an Obamacare stock play was en vogue in 2014 but will lose luster.